Ideally, however, the required capacity is provided by an intelligent forecast system. To calculate this minimum capacity, historical sales values are usually considered. This capacity is based on the delivery frequency there must be enough items available until the next delivery. Once the positions of each product on the shelf have been determined, it is important to place each item with the optimal number of sales units. Fast-moving items should also be placed in the reach or view zone so that replenishment in the shop can proceed effectively. It also makes sense to place smaller light items in the stretch zone and heavy items in the bend zone. Therefore, if they are available in the current category, they must be placed in the viewing zone. The viewing and grip zones have a much higher value than the stretching and bending zones.Īs already mentioned, anchor brands are very important for orientation on the shelf. The shelf itself is divided into different shelf zones with different values. The cross block is structured in such a way that, following the CDT, the articles are placed horizontally according to their main distinguishing feature and the other segmentations are taken into account in the vertical placement. In theory, there are different placement methods, of which only the formation of cross blocks will be mentioned here, as these are used almost exclusively in practice. Since we now know which system our customers use to search for articles within a product group (CDT) and we know the general orientation on the shelf, the placement must be aligned accordingly. That is why the correct placement of anchor brands is important for good orientation and a resulting positive shopping experience. For more precise placement details, the view is then directed vertically. Accordingly, the customer always first looks at the shelf horizontally to get a basic overview of the assortment. When creating the planograms, it is also important to be aware of the customers' orientation behaviour at the shelf. Per brand, the items are divided into "normal" and "fat reduced" and placed within that according to "taste" and "size". In the example beside, all items in the “Fruited Yoghurt” category should be placed in brand blocks. This information can be obtained by means of customer surveys, eye-tracking methods or receipt analyses. the system for which a customer searches for an item in a category, be taken into account in order to create the planograms. In order to meet the customer's needs, it is imperative that the CDT (Customer Decision Tree), i.e. The customer, on the other hand, needs all goods to be easy to find and available in sufficient quantities for a positive shopping experience. In addition, quick and easy implementation in the stores must be ensured. In addition to the manufacturer's demand to be placed "very visible", there is the retailers need to avoid "Out Of Stocks" on the one hand and "overstocking" on the other.Įspecially for products with best-before dates, it is important to place an optimal capacity. Various requirements of retailers, suppliers and customers must be taken into account in the planning of the sales shelves. SmartDraw makes creating a planogram easy with built-in templates and symbols you can drag-and-drop onto your layout.The optimal placement of the assortment of a product group in the point of sale is much more complex than the result often suggests. For example, you'll often find sugary kid-centric cereals on the bottom shelves while healthy, high-fiber ones will be placed higher. Their lower level placement may even make it easier for children to grab products to add to their parents' carts. However, products on the bottom shelf may be eye-level for children. Products placed at eye-level may sell better than products placed on the bottom shelf. For example, stores will first group all bread-like products in the same aisle and then will often place peanut butter, jelly and other condiments in the same place to help remind shoppers to stock up on those items at the same time. Making a planogram is a delicate balance of logical organization such as grouping items in the same category and taking advantage of consumer behavior and psychology to expose them to new or highly profitable products, and increasing sales by using cross-selling techniques and triggering impulse buy behaviors. Planograms can also serve as a reference when trying to analyze retail performance to identify one of the potential culprits in lower sales. Planograms are sometimes used by manufacturers to suggest optimum display for their merchandise at stores. Placement is important in retail to maximize sales and minimize wasted space. A planogram (also known as a plan o gram) is used in retail to show the placement of products on a shelf.